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News Release

Cutting Edge Technology to be Used within Staples’ Network of
Fulfillment Centers

FRAMINGHAM, Mass.--(BUSINESS WIRE)--Jul. 20, 2017--
Staples, Inc. (NASDAQ – SPLS) announced today the development of a
cutting edge, robotic material handling solution for their fulfillment
centers powered by Great Star Industrial USA, LLC (“Great Star”). The
technology combines separate solutions for picking items with high cubic
velocity and low cubic velocity into a first of its kind robust,
integrated solution.

Unlike other systems in the market today, the automated robotic storage
and retrieval system incorporates two types of automated guided vehicles
(AGVs) into a unified system that brings both high and low cubic
velocity items to a single pick and pack station, requiring less capital
investment than traditional material handling systems while increasing
productivity and picking accuracy.

The AGV used for picking items with a low cubic velocity, commonly known
as “Goods to Person” technology, is adaptable to pick from existing
industry wide storage mediums and can retrieve up to five unique items
per trip, lowering capital and drastically reducing robot tasks and
travel. Items with high cubic velocity are picked with AGVs that replace
traditional manual pick carts, redefining “Person to Goods” technology.
The new system enables “Goods to Person” pick cells to be fed by
multiple AGV’s simultaneously, eliminating idle time for the order
picker. AGVs can place products directly into the pick cell and then
leave for other tasks, increasing AGV utilization.

“With Staples and Great Star each leveraging their strengths in design,
engineering, and supply chain operations, we’ve rapidly gone from
concept to production with a robotic solution that is truly ground
breaking,” said Mike Bhaskaran, Staples’ Chief Supply Chain Officer. “It
incorporates concepts that have never been used before. In addition to
rolling it out across the Staples’ network of fulfillment centers, we’re
excited for its potential applications beyond these facilities.”

Staples has already started to utilize the new system in one of its key
fulfillment centers and is targeting to have the solution implemented
across their entire network over the next 24 months.

"This solution will be transformational for the industry," said Lily
Chi, Executive Vice President of Great Star. "It offers a high degree of
flexibility and capability that will provide a cost-effective solution
for almost any order fulfillment and warehousing operation.”

About Staples, Inc.Staples brings technology and people
together in innovative ways to consistently deliver products, services
and expertise that elevate and delight customers. Staples is in business
with businesses and is passionate about empowering people to become true
professionals at work. Headquartered outside of Boston, Mass., Staples,
Inc. operates primarily in North America. More information about Staples
is available at www.staples.com.